Needham initiated coverage with a "buy" rating, and $30 price target
The shares of Petco Health and Wellness Company Inc (NASDAQ:WOOF) are up 2% to trade at $19.23 at last check, after Needham initiated coverage with a "buy" rating, and $30 price target. The firm sees WOOF as a standout amongst competitors, citing its vet hospital expansion, as well as growth in other channels.
On the charts, the Petco stock's recent rally attempt off its Dec. 3 record low of $17.82 was rejected by the descending 20-day moving average, which still looms overhead. In the past month, the equity has lost 23.6%.
The majority of analysts were already bullish towards the security coming into today, with six of the 10 in question sporting a "buy" or better rating, while four said "hold" or worse.
Though short interest is down 21% over the two most recent reporting periods, as short sellers jump ship, the 12.34 million shares sold short still represent 10.2% of the stock's available float. It would take over one week to buy back these bearish bets, at WOOF's average pace of daily trading.